Group 1: Company Overview - ZTE Networks' revenue from data center products in the first half of the year primarily came from internet clients, accounting for over 90% of total revenue [1] - The demand for cloud computing infrastructure remains strong in the second half of the year, with expected increased capital expenditure from the internet sector based on intelligent computing [1] - The company reported overseas revenue of 1.145 billion yuan, a year-on-year increase of 48%, primarily targeting the SMB market with a growing partner base of 2,620 [1] Group 2: Product and Market Insights - The 400G products accounted for over 60% of the data center product sales, with 2T specifications mainly consisting of 200G and 400G combinations to support large-scale GPU clusters [1] - The gross margin for data center products is relatively low, ranging from 15% to 20%, while the gross margin for enterprise networks and SMB markets has improved [1] - The company is participating in the high-throughput Ethernet alliance and has launched product solutions aimed at intelligent computing scenarios [1] Group 3: Financial and Operational Outlook - Total expenses in the first half of the year decreased year-on-year, and the company expects expenses to continue to decline throughout the year [1] - The company anticipates that new order growth may slow down, as Q3 orders are primarily from contracts signed at the beginning of the year [1] - The overall industry is expected to show a downward trend in 2024, with a slight recovery observed in Q2 for the company [1]